Report: Steak ‘n Shake Mulling Bankruptcy Filing

(photo courtesy of Steak 'n Shake)

Indianapolis-based Steak ‘n Shake Inc. is reportedly considering filing for Chapter 11 bankruptcy protection. Sources tell Bloomberg the filing could happen as early as this week as the restaurant chain nears the deadline to repay a $153 million loan.

Last month, it was reported that Steak ‘n Shake had hired Washington D.C.-based advisory firm FTI Consulting Inc. to help the company through a financial restructuring. 

Bloomberg says the sources, who have knowledge on the situation but asked not to be identified, say the bankruptcy plans could change and the company is also looking into out-of-court options.

Steak ‘n Shake’s Texas-based parent, Biglari Holdings (NYSE: BH), said in November that it may not be able to refinance the loan before the March deadline. Biglari added it had plans to transform Steak ‘n Shake’s full-service model into a self-service one after its dining rooms reopen.

You can read the full story from Bloomberg by clicking here.